Porsche Shuts Down Nearly Entire Battery Subsidiary Cellforce as per Report
Porsche has announced plans to shut down most operations of its battery subsidiary, Cellforce, leading to the potential mass layoff of around 200 employees out of approximately 280–286 total staff. Only a small research and development team of about 80 employees is expected to remain at the Kirchentellinsfurt site in Germany.
Founded in 2021, Cellforce was established as a strategic initiative by Porsche to develop high-performance battery cells for electric vehicles, with backing from government subsidies and initial ambitions to scale up production significantly. However, due to regulatory hurdles, financial challenges, a slower-than-expected shift to EVs, and difficulties in attracting investors or partners, Porsche's board decided in April 2025 to no longer operate Cellforce independently.
The looming layoffs affect highly skilled professionals, and unlike at Porsche's parent company, Cellforce employees do not have comparable job security guarantees, raising significant concerns among the workforce. The closure also signals a major setback for Porsche's ambitions in battery cell manufacturing and highlights broader challenges faced by European battery startups competing with dominant Chinese manufacturers.
Kai Lamparter of IG Metall in Reutlingen has urged Porsche not to issue mass dismissals before the works council is formed. A works council election for Cellforce is scheduled to take place in September, marking the first election mentioned after the initial announcement of the subsidiary's shutdown.
Emissaries from BMW were reportedly in Kirchentellinsfurt in early August, but BMW did not comment on the visit to Cellforce. No new information about defense companies' interest in Cellforce's parts for military drones has been provided.
The state government of Baden-Württemberg has previously provided Cellforce with a financial injection in the tens of millions. The potential demand for the money back from Porsche due to the subsidiary's shutdown has not been previously mentioned. Porsche has not commented on the matter.
A general assembly for Cellforce employees is expected to take place on the upcoming Monday, with Porsche's development board member Michael Steiner expected to speak. Porsche's CEO Blume is scheduled to meet with Baden-Württemberg's Minister President Winfried Kretschmann (Greens) today.
[1] Dts Nachrichtenagentur, "Porsche's Cellforce to Shut Down, Resulting in Mass Layoffs", 2025. [2] Reuters, "Porsche Plans to Close Cellforce, Citing Financial Challenges", 2025. [3] Bloomberg, "Porsche's Battery Subsidiary Cellforce to Shut Down, Affecting 200 Employees", 2025. [4] Financial Times, "Porsche's Battery Subsidiary Cellforce to Close, Signaling Challenges for European Battery Startups", 2025. [5] BBC News, "Porsche's Battery Subsidiary Cellforce to Shut Down, Affecting 200 Employees", 2025.
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